EMERGING MARKETS: OVERVIEW AND GROWTH
OPPORTUNITIES ACROSS RETAIL CHANNELSReport extract combining insights from the following global briefings Emerging Markets: Overview and Growth Opportunities in Non-Grocery and Non-Store Channels Emerging Markets: Overview and Growth in Opportunities in Grocery Channels Click to learn more about the full reports

EMERGING MARKETS POWER AHEAD

Strong opportunities outside the BRICs
 The BRICs remain far ahead of other emerging
countries in terms of size, as well as growth in the
case for China, but other emerging countries also
offer significant opportunities.
 Looking at smaller economies, this is the case of
Saudi Arabia, Mexico, Indonesia, Vietnam, Turkey
and Iran, which are in the second tier in terms of
retail market but still offer similar growth potential in
terms of retail sales to the BRICs.
 Indeed, strong economic growth in these emerging
countries is contributing to rising incomes and
changing consumption patterns. As the middle
class expands, consumers’ spending shifts from
basic necessities, such as food, to discretionary
products, such as apparel or electronic products,
boosting the relevant channels where these
products are most purchased.
 As a result, non-grocery retailers are expected to
drive overall retailing in the majority of emerging
countries, reflecting this consumption shift, as well
as consumers’ aspirations towards more premium
and luxury products.

Channel growth opportunities in emerging markets Thanks to higher levels of discretionary spending in EMEs, non-grocery specialists have outperformed grocery retailers over 2009-2014. Within non-grocery, all channels saw similar performance, growing strongly between 10% and 13% over 2009-2014. Looking at non-grocery channels, home and garden specialist retailers remains the largest channel and apparel and footwear specialist retailers slightly outperformed other channels in terms of growth.

 As part of this global briefing on non-grocery channels in emerging countries, Euromonitor International selected the apparel and footwear, electronics and appliance and health and beauty specialists channels for further assessment, looking at their impact on overall retail in EMEs and how they are expected to drive the overall non-grocery channel.

Continued strong growth in direct selling and homeshopping
 Overall non-store retailing size in EMEs is expected to remain considerably smaller than in developed markets. However, in absolute value...

...IMPACT(S) OF THE RISE OF EMERGINGMARKETS ON THE WORLD ECONOMY.
In the 70s and 80s the terms such as ‘Third World, Lesser Developed Countries (LDC) or under-developed countries’ was used to what has now become the EmergingMarkets which are the boosters in the world economy recovery (http://www.pearsoned.co.uk/bookshop/article.asp?item=361). In 1981 the World Bank redefined countries like such as the emergingmarkets. These economies would have a low to middle per capita and by 2001 Jim O’Neill of Golden Sach coined these countries as BRIC which included Brazil, Russia, India and China. However the growth of these countries has slowed for various reasons, so Jim O’Neill added another four countries to the emergingmarket. MINT which includes Mexico, Indonesia, Nigeria and Turkey are now the emerging economic giants. In 2005 Golden Sach added further eleven countries to the emerging economies. These eleven would become the next level of the emergingmarkets. The following would analyse the impact that the rise of the emergingmarket has on the world economy.
With what the press describe as the ‘fiscal cliff’ for the world’s biggest economy, America, will that have an impact on the performance of the whole world economy?
The recent figures from IMF...

...BusinessDictionary.com defines an emergingmarket as,
“New market structures arising from digitalization, deregulation, globalization, and open standards, that are shifting the balance of economic power from the sellers to the buyers. In such markets information is freely and widely available, and is almost instantly accessible. To compete in these scenarios, a firm must adopt new processes based information technologies, and must keep a close watch on the price, quality, and convenience trends.”1
While this definition seems quite convoluted, emergingmarkets can be summarized as “nations with social or business activity in the process of rapid growth and industrialization.”2 This generalization may seem to be somewhat broad, but when the two are combined we can get an understanding of what exactly is going on with emergingmarkets and how they are differentiated from developed markets.
Essentially in looking at these definitions, there are four major characteristics. The first is that they have large populations and thus are regional economic leaders, due to their large markets. This is key as emergingmarkets are transitioning to consumer based economies, and thus need to have enough people to support consumerism. The second is that they are in transformation socially and...

...﻿Aiman S
EMERGINGMARKETS
With the developed world markets becoming increasing saturated, the multinational corporation (MNCs) have now turned to the emergingmarkets of the world. These countries which are on their way through modernization, are now a potential source of revenue for MNCs, countries such as Malaysia, Indonesia, India and China. However for companies to enter the markets, there will be challenges that they will have to overcome, as to tap the potential revenue goldmine. This is because, every country has a different and unique background or culture in doing businesses. In this assignment, I shall discuss on the types of strategic approaches MNCs use as to gain entry through a particular market. The strategic approaches which firms use as to do business in emergingmarkets that shall be discussed here are through Foreign Direct Investment(FDI), Licensing and Franchising. We shall discuss each method and analyze the benefits, the risks involved and other factors which may lead to the application of the method in different countries around the world. But first, we must define, what is an emergingmarket and how does a country fall into that category. The term emergingmarkets was coined by economist at the International Finance Corporation (IFC) in 1981 but after many...

...EmergingMarkets
Katie Ferney
International Business Negotiation
INBS 560 MX
EmergingMarkets is defined as, “nations with social or business activity in the process of rapid growth and industrialization” (Wikipedia, 2011). A country that is considered an “emergingmarket” typically helps mold the economy. If the countries that typically have higher emergingmarkets are at a stand stop, the economy is most likely not doing so well. Quite often, smaller countries will follow the market trends lead of these large countries, which can either help or hurt our economy. There are many different countries that are considered the “EmergingMarkets”. But the top seven emergingmarket countries determined by nominal GDP (Gross Domestic Product) are China, Brazil, India, Russia, Mexico, Turkey, and Indonesia. Two other emergingmarket countries are Thailand and Vietnam. The top two, which are considered to having the largest emergingmarket trends, are China and India.
China is considered to have the world’s second largest economy! It is a participant in BRIC (Brazil, Russia, India, and China). China has one of the world’s fastest growing major economies! It has been known to growing an average of 10% over the past 30 years....

...EMERGINGMARKETS
While no generally agreed upon definition for emergingmarkets exists, the term refers to low-income countries which generally have a rapid pace of economic development and where government policies favour economic liberalization (Hoskisson et al, 2000). These markets not only do some have high economic growth rates but nearly all have high population growth rates (Reynolds, 2006).
Some countries can be identified as big emergingmarkets. According to the World Bank, the five biggest emergingmarkets are China, India, Indonesia, Brazil and Russia. Other countries that are also considered as emergingmarkets include Mexico, Argentina, South Africa, Poland, Turkey, and South Korea.
Department of Commerce estimates that over 75 percent of the expected growth in the world trade over the next two decades will come from the more than 130 developing and newly industrialized countries; a small core of these countries will account for more than half of that growth. Commerce researcher also predict that imports to the countries identified as big emergingmarkets, with half of the world's population and accounting for 25 percent of the industrialized world's GDP today, will by 2010 be 50 percent of that of the industrialized world...

...Conversely, slow human development
can put an end to fast economic growth.
According to Human Development Report
1996, “during 1960–1992 not a single
country succeeded in moving from lopsided
development with slow human
development and rapid growth to a virtuous
circle in which human development
and growth can become mutually
reinforcing.” Since slower human development
has invariably been followed by
slower economic growth, this growth
Sustainable development is a term widely
used by politicians all over the world even
though the notion is still rather new and
lacks a uniform interpretation. Important
as it is, the concept of sustainable development
is still being developed and the
definition of the term is constantly being
revised, extended, and refined.
According to the classical definition,
given by the United Nations World
Commission on Environment and
Development in 1987, development is
sustainable if it “meets the needs of the
present without compromising the ability
of future generations to meet their
own needs.”
Social justice defined as equality of
opportunities for well-being, both
within and among generations of people,
can be seen as having at least three
aspects: economic, social, and environmental.
Only development that manages
to balance these three groups of objectives
can be sustained for long
Conversely, ignoring one of the
aspects can...

...Emergingmarkets increase their global power
“Emergingmarkets will be not only a source of significant revenue growth for companies but also a source of talent, true innovation and ground-breaking approaches to business, which they will leverage on a global scale.”Emmanuelle Roman, Global Consumer Products Markets Leader, Ernst & Young
Summary: Today, emergingmarkets serve as the world's economic growth engine, and the far-reaching effects of their spectacular rise continue to play out. But their risks are often downplayed. Therefore, taking advantage of emerging-marketopportunities requires careful planning.
As the greatest hope for growth in the global economy for the past two years, the emergingmarkets have become the darlings of the financial press and a favorite talking point of C-suite executives worldwide.
Once attractive only for their natural resources or as a source of cheap labor and low-cost manufacturing, emergingmarkets are now seen as promising markets in their own right. Rapid population growth, sustained economic development and a growing middle class are making many companies look at emergingmarkets in a whole new way.
As the emerging...